With gold smashing through its all time record high this morning on the back of fears over a double dip recession, analysts are turning increasingly bearish on the markets. Anthony Fry, senior managing director at Evercore Partners, told CNBC that the bond markets could turn nasty over the next few months and said that the current problems created by the European debt crisis could be with us for at least five years.

“Look at the current situation. You have Greece, now you have Hungary and huge issues surrounding Spain and Portugal,” he said, warning of a “nightmare scenario” of hyper-stagflation, where inflation rises dramatically but asset prices deflate.

“I don’t want to scare anyone but I am considering investing in barbed wire and guns, things are not looking good and rates are heading higher,” said Fry.

RBS Chief Strategist Bob Janjuah echoed Fry’s sentiments, predicting that governments would inject at least $15 trillion dollars more qualitative easing into the system and that investors should get into gold to offset the depreciating value of fiat currencies.

“Over the next 6 months we will see private sector deflation pushing 10-year yields down to 2 percent,” he said. “This will see the policymakers mistakenly attempt to kick-start the economy and market with a global quantitative easing program worth between $10 and $15 trillion dollars.”

Janjuah pointed out that, while gold has dramatically risen in value over the last ten years, the S&P 500 and the Dow Jones have both remained flat over the course of a decade.